Proposal description

The liquidity provider team supports the network by providing liquidity for mixing on the network. Results for mixing on the network have resulted in dramatically shorter mixing times, which in the past could have taken as long as a few days to complete. This proposal simply extends Liquidity providers for one additional month at an updated exchange rate. See previous Liquidity Provider proposals for additional details on this program.

Exchange rate risk is carried only by the liquidity provider team and not the network.

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Discussion: Should we fund this proposal?

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n00bkid1 point,1 year ago

I'd like clarification on whether these funds are solely used to incentivize some people (can I know who?) to keep their funds mixing on the network, or whether the created funds themselves are used in the mixing. Or a little of both? Thanks.

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babygiraffe (proposal owner)0 points,11 months ago

It is a bit of both, there are 6 liquidity providers and one person that administers the program. Each are therefore provided about $43 per month, which more than covers the mixing fees they incur. So they do get "paid", but some is to cover the network fees (50% of which the MN owners technically get back in block rewards).

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n00bkid0 points,11 months ago

Thank you for the clarification.

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TanteStefana1 point,1 year ago

The core team chose a small group of trusted people to run liquidity providing wallets. The wallet transactions database have been turned over a few times and debug logs, this was for helping to find bugs but it also helped check on running. The Liquidity providers are not publicly known. But they are required to have at least 100 dash constantly mixing 24/7. Most have a lot more than that.